A federal judge on Monday agreed the city of Reno can take Goldman Sachs into private arbitration to continue fighting for a settlement from the bank that could be worth millions of dollars.

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A federal judge on Monday agreed the city of Reno can take Goldman Sachs into private arbitration to continue fighting for a settlement from the bank that could be worth millions of dollars.

Earlier this year, Reno alleged Goldman Sachs misled the city in 2005 and 2006 to issue $210 million in bonds on a specialized financial market that the bank insisted was safe but ultimately turned out to be risky when the financial shock happened in 2008.

That debt helped pay for things like Reno's downtown events center, but wound up costing the city millions of dollars in unexpected higher-than-normal ...